CENTENNIAL, COLO. — Penford Corp. has entered an agreement to acquire Carolina Starches.
“This acquisition combines two leading specialty starch businesses and will support growth plans for our specialty industrial and food businesses,” said Tom Malkoski, chief executive officer of Penford. “With the addition of Carolina Starches, we expect to realize benefits in supply chain and operations activities as well as business growth by enhancing our capabilities in providing superior products, customer service and technical support to our customers.”
Penford would specifically purchase company interests and certain assets of the businesses currently operated by Carolina Starches and Keystone Starches. Carolina Starches produces and sells modified starches and starch blends domestically and in several export markets and has about $25 million in annual revenue.
“We are elated about joining the Penford team as we see this as an exciting opportunity to continue our aggressive growth strategy, only on a larger platform of success,” said Ben Cheatham, chief executive officer. “This acquisition builds on a strong geographical presence in North America and improves the gateway to service international opportunities.”
Closing is expected in December.